New jobs coming soon

Local leaders expect an automotive supplier to announce this week it is bringing jobs and millions in economic investments to the county.

Cleveland County Commissioners and Shelby City Council both approved incentive packages Tuesday for the company – not yet announced – which is expected to bring 189 full-time jobs and $45 million in economic investment in the next six years.

The jobs will pay a wage at or above the county average of about $32,000, according to the county incentive agreement.

County commissioners and Shelby City Council held law-required public hearings on the incentive packages prior to the boards approving the plans Tuesday.

“I am here to talk in favor of the incentive,” said David Dear, former county manager, in addressing the county board during the public hearing. “It is an excellent company and we went to Europe six or seven times to talk with the automotive industry. Any community would be eager to have this industry.”

The economic development project will include site improvements at 641 Plato Lee Road, buildings and the installation of infrastructure, machinery and equipment.

The total cost is anticipated being between $40 million and $45 million, according to the agreement.

The county’s incentive agreement also states that operations of the industry will begin no longer than three years after the closing date of the property on Plato Lee Road.

An announcement revealing the identity of the company is expected later this week, said Shelby City Manager Rick Howell.

“We’re excited about this new venture and looking forward to the announcement,” said Shelby Mayor Stan Anthony, adding the city has been in talks with the company for at least six months.

One Shelby resident spoke at the city's public hearing. She asked city council for clarification on specifics about infrastructure improvements regarding the project.

An industrial access road will be created at no cost to the company in coordination with the NC Department of Transportation and the city of Shelby, according to the incentive agreement.

“I am whole-heartedly in favor of this incentive,” said Cleveland County Chamber President Michael Chrisawn. “It will help diversify our economic base.”

What incentives were approved?

Among other provisions:

* The city of Shelby approved industrial incentive grants worth $1.35 million over a 20-year period and a one-time cash grant worth $250,000 to encourage a company to construct and operate a new manufacturing facility.

* The county approved industrial incentive grants worth $1.3 million over a 10-year period to encourage a company to construct and operate a new manufacturing facility.

Sources: City of Shelby, Cleveland County

Economic announcements

How does this expected economic development announcement compare other major recent announcements?

Announcement Jobs Investment Announced

Next expected announcement 189 $45M TBA

Schletter 305 $27M August 2012

AT&T 100 $850M February 2012

Baldor Electric 166 $17M January 2012

Ultra Armoring 150 $2M August 2011

Walt Disney 15 $205M May 2011

Source: Cleveland County Economic Development Partnership

Unemployment

Recent unemployment numbers for Cleveland County

Labor force Unemployed Rate

July 49,352 5,371 10.9

August 49.194 5,283 10.7

September 50,500 4,973 9.8

October 51,374 5,087 9.9

November 51,071 5,116 10.0

Source: NC Department of Commerce

Higher-than-average salary

Anticipated salaries for employees of the new industry are expected to exceed the county average: